Section 28103 - Legislative findingsIt is hereby determined and declared as a matter of legislative finding that:
(1) Cities of the second class have encountered recurring financial difficulties which may affect the performance of necessary municipal services to the detriment of the health, safety and general welfare of residents of such cities.(2) It is critically important that cities of the second class maintain their creditworthiness.(3) Due to the economic and social interrelationship among all citizens in our economy, the fiscal integrity of cities of the second class is a matter of concern to residents of the entire Commonwealth, and the financial problems of such cities have a direct and negative effect on the entire Commonwealth.(4) Because cities of the second class consume a substantial proportion of the products of Pennsylvania's farms, factories, manufacturing plants and service enterprises, economic difficulties confronting cities of the second class detrimentally affect the economy of the Commonwealth as a whole and become a matter of Statewide concern.(5) Because residents of cities of the second class contribute a substantial proportion of all Commonwealth tax revenues, a disruption of the economic and social life of such cities may have a significant detrimental effect upon Commonwealth revenues.(6) The financial difficulties of cities of the second class can best be addressed and resolved by cooperation between governmental entities.(7) The Constitution of Pennsylvania grants municipalities authority to cooperate with other governmental entities in the exercise of any function or responsibility.(8) The Commonwealth retains certain sovereign powers with respect to cities of the second class, among them the powers to authorize and levy taxes, to authorize the incurring of indebtedness and to provide financial assistance that may be necessary to assist cities in solving their financial problems.(9) The Commonwealth may attach conditions to grants of authority to incur indebtedness or assistance to cities of the second class in order to ensure that deficits are eliminated and access to capital markets is achieved and maintained.(10) Such conditions shall be incorporated into intergovernmental cooperation agreements between the Commonwealth or its instrumentalities and cities of the second class.(11) Cities of the second class and the Commonwealth will benefit from the creation of an independent authority composed of members experienced in finance and management which may advise such cities, the General Assembly and the Governor concerning solutions to fiscal problems cities of the second class may face.(12) The creation of such an authority will allow such cities to continue to provide the necessary municipal services for their residents and to contribute to the economy of the Commonwealth.(13) Several task forces have studied the fiscal condition of a city of the second class and have published findings and suggestions regarding the fiscal structure of the city and actions that could be taken concerning preservation of the financial viability of the city into the future. Those reports, widely known as the Competitive Pittsburgh report, the PGH 21 report and the Governor's Pittsburgh Economic Improvement Task Force report, should be evaluated by the authority in making its recommendations to the city. However, it is intended that the authority established by this act examine the fiscal affairs of the entire city of the second class, including all of its authorities and related corporate entities. 2004, Feb. 12, P.L. 73, No. 11, § 103, imd. effective.